Shares to buy or sell: Chandan Taparia recommends three stocks to buy and sell today – March 11

The Indian stock market benchmark indices, Sensex and Nifty 50, are expected to witness selling pressure on Tuesday, following weakness in global markets.

On Monday, the domestic equity benchmark indices declined, with the benchmark Nifty 50 closing below the 22,500-mark.

The Sensex declined 217.41 points, or 0.29%, to close at 74,115.17, while the Nifty 50 settled 92.20 points, or 0.41%, lower at 22,460.30.

On option front, Chandan Taparia, Head – Derivatives and Technicals, Wealth Management, MOFSL, said that the maximum Call OI (Open Interest) is at 23,000 then 22,700 strike while Maximum Put OI is at 22,000 then 22,500 strike.

“Call writing is seen at 22,700 then 22,600 strike while Put writing is seen at 22,000 then 22,500 strike. Option data suggests a broader trading range in between 22,000 to 23,000 zones while an immediate range between 22,200 to 22,700 levels,” Taparia said.

Nifty 50 Outlook

Nifty 50 bears made a strong comeback on Monday, erasing all intraday gains and dragged the index lower.

“Nifty 50 made a high of 22,676 which coincided with its 20 DEMA from where it witnessed profit booking. It formed a bearish candle with a longer upper shadow indicating pressure at higher zone. Now, if Nifty 50 manages to cross and hold above 22,500 zones then bounce could be seen towards 22,650 then 22,800 zones, while support can be seen at 22,350 then 22,222 zones,” said Taparia.

Bank Nifty Outlook

Bank Nifty index remained consolidative in a narrow range of 150 points in between 48,400 to 48,550 zones in the first half of the session on March 10. However it failed to hold near 48,500 zones and a sharp cut of 300 points was seen in the last hour of the day towards 48,150 levels.

“Bank Nifty formed a small bearish candle with long upper shadow on daily scale as selling pressure is seen at higher zones. Now, till it holds below 48,500 zones some weakness could be seen towards 48,000 then 47,750 levels while on the upside hurdle is seen at 48,500 then 48,750 zones,” Taparia said.

Chandan Taparia has recommended two stocks to buy today and one stock to sell today, March 11. Taparia recommends buying JSW Energy and SRF, while he recommends selling Multi Commodity Exchange of India (MCX).

Stocks to buy

JSW Energy | Buy | Target Price: ₹540 | Stop Loss: ₹490

JSW Energy share price has broken out of an inverted head and shoulder pattern on the daily chart with a surge in traded volumes visible. The RSI indicator is rising which confirms the bullish momentum, Taparia said.

He recommends buying JSW Energy shares for a target price of ₹540, with a stop loss at ₹490.

SRF | Buy | Target Price: ₹3,110 | Stop Loss: ₹2,855

SRF share price has retested its breakout from a consolidation on the daily chart and headed up with higher the average buying volumes. It is respecting its 50 DEMA with slight dips being bought into. The MACD indicator has given a bullish crossover which confirms the positive momentum, Taparia said.

He recommends buying SRF shares for a target price of ₹3,110, suggesting a stop loss at ₹2,855 level.

MCX | Sell | Target Price: ₹4,225 | Stop Loss: ₹4,630

MCX share price has breached below major support levels and formed an inverted pole and flag pattern on the daily chart which has bearish implications. The ADX line is rising which confirms the strength of the downward trend, said the MOFSL analyst.

He suggests selling MCX March futures for a target price of ₹4,225, while keeping a stop loss of ₹4,630.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.